Deepening Reform for China's Pesticide Distribution System    

A revised regulation on China's pesticide industry is expected to be released by the end of the year and throw open the pesticide distribution sector, industry sources said.
   China's agricultural materials distribution sector has basically transformed to a market-oriented one from a planned one. Since 1997, the government has been opening up the sector by allowing more companies to get involved. The restrictions on fertilizer distribution have been removed. And though the reform on pesticide distribution was conducted even earlier, there are still some restrictions in the pesticide distribution sector.
   According to the pesticide regulation, first introduced in 1997 and last amended in November 2001, seven types of companies can participate in pesticide operation: the agricultural branches of supply and marketing cooperatives, plant protection agencies, soil and fertilizer agencies, agricultural and forestry technology promotion agencies, forest pest control agencies, pesticide manufacturers and other organizations endorsed by the State Council.
   At present, Hainan province still implements a franchised system on pesticides.